Creditors' Rights

By the book. On time. Within allowable fees**.

At Hutchens Law Firm, we represent lenders, banks, mortgage servicers, landlords, and all creditors — regardless of size — in North Carolina and South Carolina. It’s where we started nearly four decades ago. Our strategies are designed to help you successfully maneuver* through the default process in order to protect your interests, mitigate losses, and provide you with possible solutions while ensuring the debtors are treated with dignity and respect during their difficult times.

Our reputation for HIGH PERFORMANCE LAW™ stems from our priorities and investments:

Established Industry Presence for over 35 years - Recognition and awards from industry associations, clients, and peers attest to our commitment to client satisfaction. Long-time members of the USFN (America’s Mortgage Banking Attorneys), we’ve received the USFN Diamond Award each year since 2007. We also serve as members of the National Mortgage Bankers Association, North Carolina Bankers Association, Mortgage Bankers of the Carolinas, North Carolina Creditors’ Bar Association, American Legal & Financial Network, and Women in Legal Leadership.

Providing clients with onsite continuing education - We travel nationwide to provide training and education to clients upon request, and we speak at seminars and conferences held by the USFN, MBA, and other industry organizations.

Minimizing your costs through technological efficiencies – Our proprietary case management software allows for seamless workflow reporting and document tracking by streamlining every aspect from legal research to data and document management. These efficiencies support our pledge to work within agreed upon budgets** and related benchmarks while keeping clients fully informed.

Commitment to Compliance - Using our own staff and attorneys provides accountability, efficiency, oversight, and we believe yields higher quality results*. Full compliance done right, timely, and securely. Hutchens Law Firm has received a “no objection” determination from Fannie Mae and Freddie Mac for each of the many servicer clients who have requested that review. We have fully executed legal retention agreements from each of the GSEs in both North Carolina and South Carolina.

*Note: Each case is different and must be evaluated on its individual facts. Prior results are no guarantee of future outcomes.
**Note: Clients are responsible for costs in addition to attorney fees.

Constantly Evolving.

We are constantly evolving and improving our infrastructure both from a technology and management standpoint to ensure timeline adherence, the protection of confidential client information, timely communication and escalation of matters, accurate reporting, and cost-effective competent legal representation.

Lauren S. Thurmond | Partner

Quick Legal Reflexes

When creditors are faced with a borrower’s bankruptcy filing, you need attorneys with an accelerated response to stay ahead of the chain reaction, understanding that keeping your financial interests at the front of the line is of the utmost importance to you. We represent lenders, banks, mortgage servicers, landlords, and all creditors, regardless of size, in all three North Carolina bankruptcy districts and the bankruptcy district for the State of South Carolina. We work to protect our clients' interests through every step of the bankruptcy process, including:

Preparing and filing proofs of claims

Defending objections to proofs of claims

Objections to plan confirmation

Plan reviews (Chapters 11, 12, & 13)

Preparation of reaffirmation agreements

Motions for relief from the automatic stay

Defense and prosecution of adversary proceedings, as well as other forms of bankruptcy litigation

Protecting your Interests

As a creditor, nothing is more fundamental to protecting your interests than recovering the money you have loaned. Unfortunately, collection laws are consumer friendly, and collecting unpaid debts can be a time-consuming and difficult process. It takes a proven system, consistency, hitting target dates, and action to convince the debtor that action will be pursued towards collection or repossession. We will fight to help you avoid turning a potentially profitable collection action into a disastrous counter-claim for collection law violations.

In circumstances requiring a specialized approach, we have the attorneys and staff to provide timely and appropriate, cost-efficient solutions when attempting to recover outstanding debt. This includes:

Structured payment agreements

Property repossession

Foreclosure and eviction

Consent judgments and confessions of judgment

Debt modifications

When all else fails, and the amount owed warrants further action, our attorneys can pursue your interests in the Bankruptcy, State and Federal Courts in North Carolina and South Carolina.

A Carefully Choreographed Legal Dance

Evictions are a delicate matter in both legal and human terms. Whether it follows a foreclosure or is a matter of a tenant issue, they require extreme care and an empathetic but firm approach. The process is rightfully designed to protect owners and tenants, and it requires patience, tenacity and focus to reach the end goal of protecting your property interests. Evictions fall into two main categories:

FORECLOSURE EVICTIONS - Following foreclosure, the eviction process has several steps designed to protect the interests and rights of the initial borrower/owner. We work to ensure a timely and efficient outcome so you can take ownership of the property as an asset. Our attorneys can help you by:

Confirming military and bankruptcy status of prior owners/occupant

Reviewing Lease Agreements provided by the occupants

Sending the appropriate Notice to Vacate the property to the occupants

We know the rules: state, federal, and bankruptcy.

Our attorneys are well-versed and understand the GSE, agency and servicer guidelines, and the pertinent provisions of the Consumer Financial Protection Bureau (CFPB) regulations. We have both trial and appellate court experience in defending consumer initiated litigation arising out of mortgage loan transactions and servicing activities. Compliance in all of these areas is essential, and we have the knowledge and experience to help our clients meet the necessary mandates.

Quasi-Judicial Foreclosure - After exhausting other avenues for collection of mortgage debts, certain circumstances allow for a power of sale foreclosure proceeding in North Carolina to reclaim your collateral and mitigate losses.

Judicial Foreclosures - In mortgage servicing, errors and mistakes committed at loan origination can rise to the forefront in foreclosure, preventing you from effectively recovering your collateral. In conjunction with the popular power of sale provision in a deed of trust, North Carolina law also allows creditors to file a civil action in state court seeking recovery of the applicable collateral. At the same time, the filing creditor may bring additional claims to clear title to the property, or further seek a monetary judgment against the borrower. While the judicial sale provision conveniently provides a creditor with the ability to mend defects in title, it is not without its complications. Only a small fraction of the foreclosures filed in North Carolina are filed as a judicial foreclosure, and these civil actions allow a debtor the option of filing counterclaims against the creditor.

Our attorneys can take the frustration and guesswork out of the equation. We provide seasoned advice and advocacy in judicial foreclosures and title curative litigation ranging from a simple reformation of a clerical error to more complex priority disputes between creditors.

This is it. The lawsuit in front of a judge, going head-to-head with opposing counsel.

Litigation can arise from any issue, and is the ultimate legal escalation in a dispute. It can be applicable anytime you have a dispute or claim in which you've suffered physical or financial damages. And when credit default disputes become intractable, you may be forced to file or defend a lawsuit. Successful litigation demands a solid foundation through knowledge of default servicing, banking, and financial services regulatory law; the intricate procedures of trial practice, from motions to appeals; and the firm resolve and confidence that can only come with experience. Examples of issues that can arise in mortgage litigation include:

Foreclosure Challenges - Brought by borrowers or any party with an ownership interest in the subject property. These challenges can include alleged defects with the loan origination, servicing of the loan, or the foreclosure itself.

Mortgage lien litigation - Brought by parties seeking to pursue their own financial interests at the expense of yours. Such parties may include other lenders and servicers, tax sale purchasers, HOAs, and internet-educated scammers/fraudsters.

Moving REOs off the Balance Sheet

As a creditor, you may find yourself in possession of a Real Estate Owned (REO) property that you need to liquidate. The disposition of REOs requires having the proper real estate network and infrastructure in place so you can sell the property efficiently and at the highest value possible to recoup your losses and mitigate your financial burden.

At Hutchens Law Firm, we’ve developed a system and legal/closing team that work together with your asset management group and listing agents to successfully* close REO transactions quickly and at fixed rates. We can manage the entire legal process from contract to closing, taking the burden off of you.

Our team will work with your REO agents, clear title issues, prepare your closing documents, and help establish that the settlement is completed in accordance with the contract terms. We coordinate the closing, contact listing brokers, selling brokers, and the buyer’s attorney so that the closing can take place on time and that settlement proceeds are disbursed expeditiously in accordance with your requirements.

As a testament to our professionalism and expertise, our Firm has represented the Federal National Mortgage Association with regards to its REO portfolio for more than a decade.

*Note: Each case is different and must be evaluated on its individual facts. Prior results are no guarantee of future outcomes.

We can defend your title whether it’s legal paperwork or litigation.

*Note: Each case is different and must be evaluated on its individual facts. Prior results are no guarantee of future outcomes.

Faulty documentation. Improper title conveyance. Delinquent taxes and liens. Discovering you do not hold 100% interest in the title can all be scary. With title claims on real property or mobile homes, any defects in the details can present serious issues. Our team of title curative attorneys and staff are well-practiced in navigating the complexities of the process for successful* resolution. We have an eagle eye to research titles, identify issues, and propose methods for resolution.

Title curative measures generally fall into two categories, and our expertise covers both:

Property with a title Insurance policy - If title examination reveals title issues, and there is a title insurance policy covering your interest, we will file a title insurance claim for you and work with your title insurer to help resolve the issue. Our experience in pursuing curative measures* applies to all potential issues – from superior liens of record to more extensive issues like a missing interest or incorrect legal description. Our well-established working relationship with all title insurance companies working in North Carolina and South Carolina and their claims offices helps us address these issues with efficiency in both time and cost. In addition, our practice has earned us the respect of litigation counsel throughout the Carolinas retained by title insurance companies to resolve defects*. In fact, many often contact our office for guidance. This ongoing professional relationship again helps us increase efficiency in more complex matters.

Property without title Insurance or if a title claim is denied by the title company - While title curative matters for properties without title insurance can often be more complex, we are equally adept at resolving such issues well. Depending on the type of issue, our team can cure defects by leveraging our extensive experience with numerous issues regarding curative methods such as:

Negotiating or litigating with title companies to provide leverage

Reaching out to prior lien holders for cancellation of satisfied liens that have not been canceled of record

Negotiating settlement of liens that have not been paid and satisfied

Drafting subordination agreements, satisfactions, and release

Filing quiet title actions to resolve missing interest issues or some lien issues

Filing reformation actions to cure defective legal description issues

Negotiating with owners (current and prior) to obtain corrective documents

Drafting Warranty, Non-Warranty and Quit-Claim Deeds

Drafting easements, shared driveway or well agreements, and boundary line agreements